FOB PROCEDURE DIP&PAY TTV (DEPOSIT 5% REQUIRED)
1. BUYER SHALL ISSUE ICPO WITH SELLER FOB TRANSACTIONS PROCEDURE. SELLER ISSUE SPA & CI AFTER RECEIVING ICPO FROM BUYER.
2. SELLER TO GIVE INVITATION LETTER WITHIN 48 HOUR FOR BUYER TO DO DIP TEST AT THE STORAGE FACILITY AT PENGERANG TERMINAL, MALAYSIA. SHOULD THE SPECIFICATIONS ARE WITHIN RANGE AS OF THIS SPA, BUYER IS TO PROCEED WITH THE DEAL. IF THE BUYER DECIDE TO NOT GO THROUGH WITH THIS AN AGREEMENT AFTER SUCCESSFUL DIP TEST AND THE RESULT IS SATISFACTORY, THE BUYER IS LIABLE TO PAY THE SELLER 10% OF TOTAL OF THE CARGO AS PENALTY. SHOULD THE SPECIFICATIONS ARE NOT WITHIN RANGE AS OF THIS SPA, THE SELLER WILL FULLY REFUND THE COST BORNE BY THE BUYER FOR THE DIP TEST. TO THE BUYER’S BANK ACCOUNT WITHIN (72) HOURS.
3. SHOULD THE BUYER DECIDED TO TERMINATE THIS AGREEMENT AT ANY POINT OF TIME AFTER COLLECTION OF OIL SAMPLE OR THE DIP TEST IS DONE WITH THE CARGO SPECIFICATION IS WITHIN THE RANGE INDICATED IN THIS AGREEMENT, THE BUYER HAS TO PAY THE SELLER 10% OF THE TOTAL CARGO VALUE AS A PENALTY.
4. THE SELLER HAS SOLD AND BUYER HAS BOUGHT BASED ON FOB AT DESIGNATED LOADING PORT/POSITION, THE COMMODITY HEREIN SPECIFIED HAVING A MINIMUM GUARANTEED SPECIFICATION AS PER ANNEX A IN THIS SALES & PURCHASE AGREEMENT AND DELIVERED IN UNIFORM LOTS ACCORDINGLY TO THE TERMS OF THIS SALES & PURCHASE AGREEMENT.
5. BUYER TO PROVIDE THE VESSEL’S Q88 TO SELLER AFTER COLLECTION OF OIL SAMPLE WITH INSPECTION RESULTS SATISFACTORY.
6. SELLER/BUYER SHALL AGREE AND CONFIRM THE LOADING DATE AND CONFIRM THE Q88 OF THE LOADING VESSEL FOR THE TRANSFER OF THE CARGO TO THE BUYER’S VESSEL. ONCE THE LAB’S RESULTS IS OUT AND IS ACCORDING TO THE SPECIFICATIONS AS IN THIS SPA, THE BUYER WILL PAY FULL PAYMENT FOR THE CARGO WITHIN 48 HOURS TO THE SELLER ACCOUNT.
7. THE PRE-APPROVED BUYER’S VESSEL SHALL BERTH ON THE APPOINTED DATE AT THE TERMINAL AND THE BUYER SHALL IMMEDIATELY CONDUCT A FINAL DIP TEST. UPON THE SUCCESSFUL TEST RESULT, THE LOADING HOSE SHALL BE CONNECTED TO THE VESSEL’S TANK MANIFOLD. THE LOADING OF THE CARGO SHALL COMMENCE. THE VESSEL DEPART FROM THE LOADING TERMINAL.
8. RESPONSIBILITY FOR THE CARGO SHALL BE THE BUYER’S FROM THE TIME THE DISCHARGE HOSE IS DISCONNECTED FROM THE VESSEL’S MANIFOLD FLANGE UPON THE COMPLETION OF THE LOADING OF THE CARGO.
9. SELLER SHALL PROVIDE THE BUYER WITH THE FOLLOWING DOCUMENTS TO COMPLETE THE TRANSACTION:
a. COMMERCIAL INVOICE FOR THE EXACT AMOUNT CORRESPONDING TO THE FINAL LOADED QUANTITY OF THE CARGO
b. CERTIFICATE OF ORIGIN PLUS THREE (3) COPIES COUNTERSIGNED BY THE LOCAL CHAMBER OF COMMERCE OF COUNTRY OF ORIGIN
c. RELEVANT CLEARANCE AND/OR PERMIT CERTIFICATION/DOCUMENTATION NEEDED FOR THE DEPARTURE OF THE VESSEL
10. THE QUANTITY FOR ROLL & EXTENSION SHALL BE SIMILARLY FOR 10,000MT OR MORE OF THE CARGO AND TIME FRAME SHALL BE FOR THE NEXT LOADING SHALL BE ABOUT 7 DAYS AFTER THE COMPLETION OF PRECEDING TRANSACTION.
11. NEITHER PARTY SHALL BE LIABLE FOR THE COMPLETE OR PARTIAL NON-PERFORMANCE OF ANY OF ITS OBLIGATIONS IF THE NON-PERFORMANCE RESULTS FROM SUCH FORCE MAJEURE CIRCUMSTANCES AS ACTS OF GOD, STRIKES, FIRES, FLOODS, WARS (WHETHER DECLARED OR UNDECLARED), RIOTS, DESTRUCTION OF THE OIL, DELAYS OF CARRIERS EMBARGOES, ACCIDENTS, RESTRICTIONS IMPOSED BY ANY GOVERNMENTAL AUTHORITY (INCLUDING ALLOCATIONS, QUOTAS, PRIORITIES, REQUISITIONS, PRICE CONTROLS AND OTHER UNFORESEEN CIRCUMSTANCES) AND OTHER WHICH ARE OUT OF THE CONTROL OF THE CONTRACTUAL PARTIES AND HAVE ARISEN AFTER THE CONCLUSION OF THE CONTRACT.
12.ALL DISPUTES OR CONTROVERSIES WHICH MAY ARISE OUT OF THIS CONTRACT SHALL BE SETTLED IN MALAYSIA AS PER THE COUNTRY ARBITRATION RULES.
13.THIS AGREEMENT CONTAINS THE ENTIRE UNDERSTANDING BETWEEN THE PARTIES WITH RESPECT TO THE TRANSACTIONS CONTEMPLATED HEREBY AND CAN ONLY BE AMENDED BY A WRITTEN AGREEMENT EXECUTED BY BOTH PARTIES.
14.THIS CONTRACT IS ASSIGNABLE BY THE BUYER TO ANOTHER PARTY IF THE NEED ARISES, WITH PRIOR CONSENSUS FROM THE SELLER.
#EN590-40,000MT
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